Slide 1: Zaldívar Site Visit
Bienvenido! Zaldívar Site Visit April 8, 2014 1 CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION Certain information contained or incorporated by reference in this presentation, including any information as to our strategy, projects, plans or future financial or operating performance, constitutes
Slide 2: Agenda
Agenda 1. SAFETY BRIEFING 2. OVERVIEW OF COPPER GROUP 3. SITE AND TOUR OVERVIEW 4. CORPORATE RESPONSIBILITY 5. FUTURE OPPORTUNITIES 3 Agenda 1. SAFETY BRIEFING 2. OVERVIEW OF COPPER GROUP 3. SITE AND TOUR OVERVIEW 4. CORPORATE RESPONSIBILITY 5. FUTURE OPPORTUNITIES 4
Slide 3: Zaldívar Safety Performance
Zaldívar Safety Performance Total Reportable Second lowest TRIF among Injury Frequency Rate 26 Barrick sites in 2013 0.8 Over 4 million hours (11 0.7 0.67 months) without a 0.6 reportable injury 0.53 0.5 0.4 0.3 86% 0.2 0.09 0.1 0 2011 2012 2013 5 Agenda 1. SAFETY BRIEFING 2. OVERVIEW OF COPPER
Slide 4: Global Copper Group
Global Copper Group A dedicated senior leadership team was appointed in late 2012 Small company approach, lean, clarity of roles Focused exclusively on optimizing copper assets to maximize free cash flow and risk adjusted returns Zaldívar Lumwana JabalSayid 7 Copper Group Leadership Team Mar
Slide 5: Location
Agenda 1. SAFETY BRIEFING 2. OVERVIEW OF COPPER GROUP 3. SITE AND TOUR OVERVIEW 4. CORPORATE RESPONSIBILITY 5. FUTURE OPPORTUNITIES 9 Location Zaldívar Antofagasta PACIFIC OCEAN Atacama Cerro Casale CHILE ARGENTINA Pascua-Lama Veladero La Serena Coquimbo San Juan San Juan 0 miles 100 200 300 400 500
Slide 6: Zaldívar Highlights
Zaldívar HIGHLIGHTS 9 Large copper deposit close to port 9 Low-cost, competitive producer 9 Significant remaining mine life 9 Strong reputation with government and regulators 11 Zaldívar Copper 12
Slide 7: C1 Cash Cost Rankings
Chilean Copper Mines ൞ Cost Ranking 2012 Total Direct Costs $ US/lb sold $5.00 $4.00 $3.00 Average: $2.45 $1.80 $2.00 $1.00 $0.00 Source: Informe Financiero de la Minería – Cesco Chile: http://www.cesco.cl/ 13 Global 2013 C1 Cash Costs Copper Mines - Composite C1 Cash Costs Grouped by Mine C1 Cash C
Slide 8: 2013 Copper Reserves & Resources
2013 Copper Reserves & Resources(1,2) Tons Grade Contained lbs Zaldívar (000s) (g/t) (millions) P&P Reserves 555,060 0.540 5,997 M + I Resources 166,519 0.450 1,500 Inferred Resources 10,570 0.591 125 (1) See final slide #1 (2) Reserve and resource calculations based on $3.00/lb and $3.50/lb, respec
Slide 9: Zaldívar Site Layout
Zaldívar Site Layout Secondary N LeachPad SX/EWPlant Tailings TertiaryCrusher Dynamic LeachPad Dump Leach Waste Dumps PrimaryCrusher 0 1 2 3 4 5km 17 Zaldívar Tour Stops Secondary N LeachPad SX/EW Pl SX/EWPlant Tailings TertiaryCrusher Dynamic L hP d LeachPad Dump Leach Waste Office Dumps YouAreHere
Slide 10: Open Pit Mining
Open Pit Mining Conventional truck/shovel operation Ore body lies within a large tertiary porphyry copper system inclusive of the Escondida deposit 2013 Tonnesperday 207,000 Grade 0.50%Cu MiningCost $1.98pertonne 2013 strip ratio: ~0.61:1 19 Planned Mine Stages A/B B A B A/B A/B A: Areas Mined
Slide 11: Mining Fleet and Equipment
Mining Fleet and Equipment 3 P&H 4100 Shovels 2 Marathon L1800/L1850 loaders 1 Caterpillar 994D loader 3 Atlas Copco/Drilltech drills 17 Dresser 830E trucks 15 Komatsu 830E-AC trucks 6 Terex MT4400 trucks 1 Caterpillar 793B trucks 1 Liebherr R954 excavator 9 D375 A-5 Komatsu bulldozers 2 Caterpillar
Slide 12: Processing Circuit
Processing Circuit LEACH PAD DYNAMIC STACKER PRIMARY HEAP LEACH PAD ELECTROWINNING PLANT COPPER CATHODES READY FOR SALE 23 Process Flowsheet MINE PRIMARY & SECONDARY CRUSHING CRUSHING SILO TERTIARY CRUSHER CYCLONES FLOTATION THICKENER THICKENER LEACH PAD EMERGENCY TAILINGS DUMP STOCKPILE THICKENER S
Slide 13: Cathode Marketing
Cathode Marketing Zaldívar sells copper 2013 Zaldívar cathode via the London GradeBreakdown Metal Exchange (LME) 1High Grade 88% The LME rates purity of copper based on a 2 Standard Grade 9% three grade scale 3 OffGrade 2% Zaldívar’s proportion of Scrap 1% high grade material produced is one o
Slide 14: Environmental Innovation
Agenda 1. SAFETY BRIEFING 2. OVERVIEW OF COPPER GROUP 3. SITE AND TOUR OVERVIEW 4. CORPORATE RESPONSIBILITY 5. FUTURE OPPORTUNITIES 27 Environmental Innovation Due to Zaldívar’s unique, high altitude desert location, environmental stewardship is a key focus. Initiatives include: Use of bio-mass
Slide 15: Corporate Social Responsibility
Corporate Social Responsibility 29 Zaldívar Community Relations Implementing Barrick Community Relations Management System – 70% completed, expected by end of 2014 Established Community Relations Program – Local Supplier Training and Development Program, focusing on vulnerable peoples – Micro-en
Slide 16: Future Opportunities
Agenda 1. SAFETY BRIEFING 2. OVERVIEW OF COPPER GROUP 3. SITE AND TOUR OVERVIEW 4. CORPORATE RESPONSIBILITY 5. FUTURE OPPORTUNITIES 31 Future Opportunities Significant opportunities exist to optimize or extend Zaldívar’s remaining mine life Focus is on evaluating brownfield growth opportunities
Slide 17: Crusher Fines Processing
Crusher Fines Processing Develop a feasible leaching process to recover copper from the oxide fines collected from tertiary crushing Opportunity ~13M tonnes of fines grading 0.7% Cu are currently stockpiled ~8M tonnes grading 0.5% Cu are expected for remaining LOM Estimated additional producti
Slide 18: Primary Deep Sulfides
Primary Deep Sulfides Exploit primary deep sulfides beneath existing Zaldívar pit Opportunity 6.6 Blbs of additional sulfide material that is not currently part of reserves or resources, requires expanded processing capacity(1) Significant extension to mine life via 1 B incremental tonnes gradin
Slide 19: Copper Market Outlook
Appendix COPPER MARKET OUTLOOK 37 Price, Production Costs & Stocks 1990-2018 Historically,pricefloorforcopperhas beenthe90th percentileofC1cost (2014forecast~$2.25/lb) Average Metal Stocks Source: Wood Mackenzie 38
Slide 20: Copper Grade Outlook
Copper Grade Outlook IndustryHeadGradeTrends(WeightedbyPaidCopper) 39 Positive Copper Outlook Structural change in demand supported by urbanization of emerging markets, i.e. China/India In the long term, the industry will be challenged to mount a sufficient supply response due to: – aging, lower
Slide 21: Footnotes
Footnotes 1. Calculated in accordance with National Instrument 43-101 as required by Canadian securities regulatory authorities. For a breakdown, see pages 27-37 of Barrick’s Form 40-F. 2. C1 cash costs pper pound p and C3 fullyy allocated cash costs per p pound p are non-GAAP financial performance